4 th FP (ended June 2019)

Presentation Materials
Canadian Solar Infrastructure Fund, Inc.
Security code

Asset Manager
Canadian Solar Asset Management K.K.

S-19 CS Misato-machi Power Plant

S-20 CS Marumori-machi Power Plant

Table of Contents
1.Financial Highlights・・・ 2
Financial Highlights of 4th FP ・・・・・・・・・ 3
Portfolio Performance・・・・・・・・・・・・ 4

2.Major Topics for 4 th FP・・ 7
AUM Snapshot・・・・・・・・・・・・・・・・
Portfolio・・・・・・・・・・・・・・・・・・・
Newly Acquired Assets in 4th FP・・・・・・・
Asset List・・・・・・・・・・・・・・・・・・
Debt Profile・・・・・・・・・・・・・・・・・
Impact of Curtailment on 4th FP Performance・
Status of Kyushu Electric Power’s Nuclear Power Plants
and Curtailment Impacts・・・・・・・・・・・・・・・・

Impact from FIT Revision・・・・・・・・・・
Contribution to ESG・・・・・・・・・・・・・

8
9
10

11
12
13
14
15
16

3.Management Policy・・・ 17
5th, 6th & 7th FP Business Forecast・・・・・・

4. CSIF’s Unique Features・ 21
Overview of Sponsor・・・・・・・・・・・・・
Vertically-integrated Business Model・・・・・
Overall Structure・・・・・・・・・・・・・・
Leasing Structure・・・・・・・・・・・・・・
Distribution Policy (Payout Ratio)・・・・・・・
Characteristics of PV Plant Revenue・・・・・

22
23
24
25
26
27

5. Appendix・・・・・・・・・ 28
Renewable Energy Market in Japan・・・・・
Corporate History・・・・・・・・・・・・・・
Balance Sheet・・・・・・・・・・・・・・・・
Statement of Income ・・・・・・・・・・・・
Unit Price Performance・・・・・・・・・・・
Green Bond・・・・・・・・・・・・・・・・・
Status of Unitholders・・・・・・・・・・・・
Disclaimer・・・・・・・・・・・・・・・・・・

29
30
31

32
33
34
35
36

18

Changes in Dividend Amounts・・・・・・・・ 19External Growth Strategy (Sponsor Pipeline)・ 20

11. Financial Highlights

Financial Highlights of 4 th FP
Profits surpassed forecasted levels because (1) actual power generation exceeded forecasted
amounts, and (2) CSIF acquired two projects from the sponsor pipeline. Increased profit
distributions and elevated DPU to ¥3,650
3rd FP (ended

4th FP

Dec. 2018)(ended Jun. 2019)

ActualFeb. 2019
forecast

ActualMajor difference factor
Increase /decrease

Statement of Income Data
(million yen)
Operating revenues

1,785

2,072

2,185

113

Operating income

644

703

817

114

Income before income taxes

413

573

711

138

Net income

412

572

710

138

Distribution per unit
(including distributions in excessof earnings) (yen)

3,600

3,600

3,650

50

Distributions per unit
(excluding distributions in excessof earnings) (yen)

1,783

2,478

3,073

595

Distributions in excess of earnings
per unit (yen)

1,817

1,122

577

▲545

Operatingrevenue

Increase in basic
and performancebased rent

Operatingexpenses

Decrease in O&M cost
Increase indepreciation expense－14

Insurance proceeds＋26

Increase inborrowing-related
expenses＋5

Nonoperating
incomeNonoperating
expenses＋113＋5

4th FP
distribution per unit
3,650 yen

3

Portfolio Performance
4 th FP actual energy output ÷ 4 th FP projected energy output = 103.66％◼ Total energy output(MWh)Projected

Actual
14,66915,00012,10910,367

9,972

10,000

7,789

7,235

7,100

12,827
11,223

11,434

10,423

7,497

5,000

0

1月19
Jan.

2月19
Feb.

3月19
Mar.

4月19
Apr.

5月19
May

6月19
Jun.

◼ Energy output by projectS-01 CS Shibushi-shi
Power Plant

300

(MWh)
300

200

200

100

100

0

S-03 CS Kasama-shi
Power Plant

S-02 CS Isa-shi
Power Plant

(MWh)

Jan.
1月
19

Feb.
2月
19

Mar.
3月
19

Apr.
4月
19

May
5月
19

0

Jun.
6月
19
S-04 CS Isa-shi Dai-niPower Plant

(MWh)
300

100

100

2月
Feb.
19

3月
Mar.
19

4月
Apr.
19

5月
May
19

6月
Jun.
19

Mar.
3月
19

Apr.
4月
19

May
5月
19

Jun.
6月
19

1月
Jan.
19

2月
Feb.
19

3月
Mar.
19

4月
Apr.
19

5月
May
19

6月
Jun.
19

300
200

1月
Jan.
19

Feb.
2月
19

(MWh)

200

0

Jan.
1月
19

0

4

Portfolio Performance
S-05 CS Yusui-cho
Power Plant

S-06 CS Isa-shi Dai-sanPower Plant

(MWh)
300

(MWh)
300

200

200

100

100

0

1月
Jan.
19

2月
Feb.
19

3月
Mar.
19

4月
Apr.
19

5月
May
19

0

6月
Jun.
19

S-07 CS Kasama-shi Dai-ni (MWh)Power Plant
300

S-08 CS Hiji-machi
Power Plant

1月
Jan.
19

2月
Feb.
19

3月
Mar.
19

4月
Apr.
19

5月
May
19

6月
Jun.
19

1月
Jan.
19

2月
Feb.
19

3月
Mar.
19

4月
Apr.
19

5月
May
19

6月
Jun.
19

1月
Jan.
19

2月
Feb.
19

3月
Mar.
19

4月
Apr.
19

5月
May
19

6月
Jun.
19

1月
Jan.
19

2月
Feb.
19

3月
Mar.
19

4月
Apr.
19

5月
May
19

6月
Jun.
19

(MWh)
400
300

200

200
100
0

S-09 CS Ashikita-machi
Power Plant

100
1月
Jan.
19

2月
Feb.
19

3月
Mar.
19

4月
Apr.
19

5月
May
19

0

6月
Jun.
19

S-10 CS Minami Shimabara-shi (MWh)(MWh)

Power Plant (East & West)

300

600
200

400

100
0

S-11 CS Minano-machi
Power Plant

200

1月
Jan.
19

2月
Feb.
19

3月
Mar.
19

4月
Apr.
19

5月
May
19

0

6月
Jun.
19

S-12 CS Kannami-cho
Power Plant

(MWh)
400
300

(MWh)
300
200

200
100

100
0

1月
Jan.
19

2月
Feb.
19

3月
Mar.
19

4月
Apr.
19

5月
May
19

6月
Jun.
19

0

5

Portfolio Performance
S-13 CS Mashiki-machi
Power Plant

S-14 CS Koriyama-shi
Power Plant

(MWh)

6,000

(MWh)
100
75

4,000

50

2,000
0

S-15 CS Tsuyama-shi
Power Plant

Jan.
1月
19

Feb.
2月
19

Mar.
3月
19

Apr.
4月
19

May
5月
19

S-16 CS Ena-shi
Power Plant

300

100

100

Feb.
2月
19

Mar.
3月
19

Apr.
4月
19

May
5月
19

0

Jun.
6月
19
S-18 CS Takayama-shi
Power Plant

2,000

100

Feb.
2月
19

Mar.
3月
19

Apr.
4月
19

May
5月
19

Jun.
6月
19

0

(MWh)

S-20 CS Marumori-machi(MWh)

300

300

200

200

100

100

0

Jan.
1月
19

Feb.
2月
19

Mar.
3月
19

Apr.
4月
19

May
5月
19

Jun.
6月
19

Apr.
4月
19

May
5月
19

Jun.
6月
19

Jan.
1月
19

Feb.
2月
19

Mar.
3月
19

Apr.
4月
19

May
5月
19

Jun.
6月
19

Jan.
1月
19

Feb.
2月
19

Mar.
3月
19

Apr.
4月
19

May
5月
19

Jun.
6月
19

Feb.
2月
19

Mar.
3月
19

Apr.
4月
19

May
5月
19

Jun.
6月
19

300
200

Jan.
1月
19

Mar.
3月
19

(MWh)

4,000

0

Feb.
2月
19

300
200

Jan.
1月
19

Jan.
1月
19

(MWh)

200

(MWh)
CS Daisen-choPower Plant (A)(B） 6,000

S-19 CS Misato-machi

0

Jun.
6月
19

(MWh)

0

S-17

25

0

(Note)

Jan.
1月
19(Note) Since the project was acquired on March 29, the performance figures for March (March 29 to 31) was omitted from the above.

6

2. Major Topics for 4 th FP

AUM Snapshot
Consistent growth of the largest listed infrastructure fund in Japan sponsored by the Canadian
Solar Group developing business globally. AUM on mark-to-market basis has exceeded ¥50Bn.
<Portfolio as of the end of 3rd FP><Assets acquired during 4th FP># of projects

18 projects# of projects

Total projectvaluation priceas of the end of
3rd FP(note)
Panel output of
AUM<Portfolio as of the end of 4th FP>

2 projects# of projects

20 projects¥47.09Bn

Acquisition
price(note)¥1.32 Bn

Total projectvaluation priceas of the end of
4th FP(note)¥50.02 Bn

105.6 MW

Panel output of
acquisitions

3.2 MW

Panel output of
AUM

108.9 MW

(Note) For owned assets as of the end of the 3rd and 4th FP, “price” refers to the median project valuation report amount which is the estimated values provided to us byPricewaterhouse Coopers Sustainability LLC and Ernst & Young Transaction Advisory Services Co., Ltd. in its project valuation reports as at December 31, 2018 and June 30,
2019. For assets purchased during the 4th FP, “price” refers to the acquisition price.
◼ Historical panel output
（MW）
120
3.2

100

30.3

80

3.2
30.3

2.5

2.5

60
40

72.7

72.7

20
0

Oct. 2017(IPO)

Feb. 2018

Sep.2018

Mar.2019

Total

8

Portfolio◼ As at period-ended Jun’2019
S-01 CS Shibushi-shi
Power Plant
1.2MW

S-02 CS Isa-shi Power Plant
0.9MW

S-03 CS Kasama-shi
Power Plant
2.1MW

S-04 CS Isa-shi Dai-niPower Plant
2.0MW

S-05 CS Yusui-cho
Power Plant

S-06 CS Isa-shi Dai-sanPower Plant
2.2MW

S-07 CS Kasama-shi Dai-niPower Plant
2.1MW

S-08 CS Hiji-machi
Power Plant

S-09 CS Ashikita-machi
Power Plant
2.3MW

S-10 CS Minami Shimabara-shi

2.6MW

S-11 CS Minano-machi
Power Plant
2.4MW

S-12 CS Kannami-cho
Power Plant
1.3MW

S-13 CS Mashiki-machi
Power Plant 47.7MW

S-14 CS Koriyama-shi
Power Plant
0.6MW

S-15 CS Tsuyama-shi
Power Plant
2.0MW

S-16 CS Ena-shi
Power Plant

S-17 CS Daisen-cho

S-18 CS Takayama-shi
Power Plant
1.0MW

S-19 CS Misato-machi

S-20 CS Marumori-machi 2.2MW

2.1MW

Power Plant (A)(B）27.3MW

1.1MW

1.7MW

Power Plant (East ＆ West) 3.9MW

9Newly Acquired Assets in 4 th FP
S-19

CS Misato-machi Power Plant

Project Name

(Acquisition Date：March 1, 2019)

CS Misato-machi
Power Plant

Acquisition Date

March 1, 2019

Acquisition Price¥470,000,000

Location

Operator

Project NameCS Marumori-machi
Power Plant

Land Rights

Ownership

Acquisition Date

March 29, 2019

COD

March 27, 2017

Acquisition Price¥850,000,000

Panel Type

Polycrystalline
siliconPanel output

1,082.00kW

Output capacity

1,009.00kW

Panel
Manufacturer

Canadian SolarGroup

Univergy 01 G.K.

Invertermanufacturer

Power Electronics
Espana SLTEPCO Energy Partner,
Inc.

Frame Structure

Screw pilefoundation

First year
projected
capacity factor

14.04%

Canadian Solar Projects
K.K.
CSOM JapanEPC Servicer

Univergy K.K.

¥32/kWh

Facility(Acquisition Date：March 29, 2019)25,315.08㎡

March 26, 2037

Misato-machi,
Kodama-gun, Saitama

CS Marumori-machi Power Plant

Area

FIT
expiration

O&M Servicer

Power
Generation
Company
Summary Electricof Specific Power
Contracts Purchasing
Company
Purchase
Price

Land

S-20

LocationArea

65,306.00㎡

Land Rights

Lease-hold,easement

COD

July 13, 2018

FIT
expiration

July 12, 2038

Panel Type

Polycrystalline
siliconPanel output

2,194.5kW

Output capacity

1,990.00kW

Panel
Manufacturer

Canadian SolarGroup

CLEAN ENERGIESSOLUTIONS K.K.

Invertermanufacturer

Power Electronics
Espana SL

Tohoku Electric Power
Co.,Inc.

Frame Structure

Pile foundation

First year
projected
capacity factor

13.12%

Marumori-machi,
Igu-gun, Miyagi

Operator

Canadian Solar Projects
K.K.

O&M Servicer

CSOM JapanEPC Servicer

ETS Holdings Co.,Ltd

Power
Generation
Company
Summary Electricof Specific Power
Contracts Purchasing
Company
Purchase
Price

Land

¥36/kWh

Facility10

Asset List
No.

Project nameLocation

Acquisition price(yen millions)Price (yenmillions) (note)

Investment
ratio (％)

Panel output
(kW)

S-01

CS Shibushi-shi Power Plant

Shibushi-shi, Kagoshima

540

607

1.21

1,224.00

S-02

CS Isa-shi Power Plant

Isa-shi, Kagoshima

372

408

0.82

931.77

S-03

CS Kasama-shi Power Plant

Kasama-shi, Ibaraki

907

1,082

2.16

2,127.84

S-04

CS Isa-shi Dai-ni Power Plant

Isa-shi, Kagoshima

778

847

1.69

2,013.99

S-05

CS Yusui-cho Power Plant

Aira-gun, Kagoshima

670

730

1.46

1,749.30

S-06

CS Isa-shi Dai-san Power Plant

Isa-shi, Kagoshima

949

1,033

2.06

2,225.08

S-07

CS Kasama-shi Dai-ni Power Plant

Kasama-shi, Ibaraki

850

923

1.85

2,103.75

S-08

CS Hiji-machi Power Plant

Hayami-gun, Oita

1,029

1,111

2.22

2,574.99

S-09

CS Ashikita-machi Power Plant

Ashikita-gun, Kumamoto

989

1,081

2.16

2,347.80

S-10

CS Minamishimabara-shi Power Plant (East & West)

Shimabara-shi, Nagasaki

1,733

1,988

3.97

3,928.86

S-11

CS Minano-machi Power Plant

Chichibu-gun, Saitama

1,018

1,173

2.34

2,448.60

S-12

CS Kannami-cho Power Plant

Tagata-gun, Shizuoka

514

593

1.19

1,336.32

S-13

CS Mashiki-machi Power Plant

Kamimashiki-gun, Kumamoto

20,084

23,46546.91

47,692.62

S-14

CS Koriyama-shi Power Plant

Koriyama-shi, Fukushima

246

272

0.54

636.00S-15

CS Tsuyama-shi Power Plant

Tsuyama-shi, Okayama

746

817

1.63

1,963.00

S-16

CS Ena-shi Power Plant

Ena-shi, Gifu

757

868

1.74

2,124.20

S-17

CS Daisen-cho Power Plant (A) (B)Saihaku-gun, Tottori

10,447

11,31022.61

27,302.40

S-18

CS Takayama-shi Power Plant

Takayama-shi, Gifu

326

359

0.72

962.28

S-19

CS Misato-machi Power Plant

Kodama-gun, Saitama-ken

470

488

0.98

1,082.00

S-20

CS Marumori-machi Power Plant

Igu-gun, Miyagi-ken

850

866

1.73

2,194.50

44,28150,026100.00108,969.30

Total(Note)“Price” refers to the median project valuation report amount, which is the estimated values provided to us by PricewaterhouseCoopers Sustainability LLC and Ernst & Young
Transaction Advisory Services Co., Ltd. in its project valuation reports as of June 30, 2019.

11

Debt Profile◼ Financial soundness attributed to fixed interest rate conversion and LTV controls
Type

Initial drawdown
amount(yen millions)

Loan
Outstanding(yen millions)Interest rate

Interest rate
type

Drawdown date

Maturity

Longterm

15,70014,399Base rate plus 0.45%(fixed at 0.845% upon executinginterest rate swap)

Fixed

31-Oct-2017

10 years from drawdown date
JCR Green Bond Evaluation

Longterm

900

820

Base rate plus 0.45%

Variable

1-Feb-2018

3 years from drawdown date

Longterm

8,000

7,612

Base rate plus 0.45%(fixed at 1.042% upon executinginterest rate swap)

Fixed

6-Sep-2018

10 years from drawdown date

Longterm

700

680

Base rate plus 0.45%

Variable

29-Mar-2019

3 years from drawdown dateTotal

25,30023,513(as at Jun. 30, 2019)◼ Ratio of fixed-to-variable rate loans and LTV
100%

Fixed-to-variableinterest rate ratio

LTV

80%

(as at end of June 2019)60%(as at end of June 2019)93.61 ％
(Note)

93.03%
83.94%

50.34%

93.61%

51.59%

47.00%

40%

47.00 ％

20%
0%
nd

2 FP
第2期

rd

4th FP

3 FP
第3期

Fixed-to-variable
固定金利比率interest rate ratio

第4期

LTV

“Fixed-to-variable interest rate ratio” refers to the ratio of fixed interest rate liabilities to total interest-bearing liabilities at that time.
Variable interest rate liabilities that were converted to fixed interest rate liabilities through interest rate swap agreements were deemed as fixed interest rate liabilities.

12

Impact of Curtailment on 4 th FP Performance◼ Status of CSIF solar plant operations (9 out of 18 portfolio assets are located in Kyushu)
Month
Jan

Feb

Mar

Project Name

# of
Days

Month

# of
Days

Project Name

Month

# of
Days

Project Name

S-02

CS Isa-shi PP

1

S-01

CS Shibushi-shi PP

6

S-01

CS Shibushi-shi PP

3

S-09

CS Ashikita-machi PP

1

S-02

CS Isa-shi PP

6

S-02

CS Isa-shi PP

3

S-10E

CS Minamishimabarashi (East) PP

1

S-04

CS Isa-shi Dai-ni PP

6

S-04

CS Isa-shi Dai-ni PP

3

S-10W

CS Minamishimabarashi (West) PP

1

S-05

CS Yusui-cho PP

6

S-05

CS Yusui-cho PP

3

S-01

CS Shibushi-shi PP

3

S-06

CS Isa-shi Dai-san PP

6

S-06

CS Isa-shi Dai-san PP

3

S-02

CS Isa-shi PP

3

S-08

CS Hiji-machi PP

6

S-08

CS Hiji-machi PP

3

S-04

CS Isa-shi Dai-ni PP

4

S-09

CS Ashikita-machi PP

6

S-09

CS Ashikita-machi PP

3

S-05

CS Yusui-cho PP

4

S-10E

CS Minamishimabarashi (East) PP

S-10E

CS Minamishimabarashi (East) PP

S-06

CS Isa-shi Dai-san PP

4

S-10W

CS Minamishimabarashi (West) PP

S-10W

CS Minamishimabarashi (West) PP

S-08

CS Hiji-machi PP

4

S-13

CS Mashiki-machi PP

S-13

CS Mashiki-machi PP

S-09

CS Ashikita-machi PP

3

Month

January

February

March

April

May

S-10E

CS Minamishimabarashi (East) PP

3

S-10W

CS Minamishimabarashi (West) PP# of days

1 day

1 day

16 days

20 days

10 days

S-13

CS Mashiki-machi PP

4Frequency

2

2

32

54

27

Apr

6
6

Mar

3
3

◼ Impacts to CSIF
Total rent income
decrease forth
4 FP-ending Jun. 2019¥32.545 MM

Ratio of impacted rent
against total portfolio
rent revenue for4 th FP-ending Jun. 20191.54 ％

Despite the high frequency of curtailment fromMarch to May, actual power generation exceeded
forecasted amounts. Hence, impact to CSIF’s
performance was limited. No curtailments
occurred after May 13 once inspections at thenuclear power plants commenced.
13

Status of Kyushu Electric Power’s Nuclear Power Plants and Curtailment Impacts
Against backdrop of ongoing inspections of Kyushu Electric Power’s plants and delays encountered by Kyushu
Electric Power in fully complying with new safety standards, impacts from curtailment is limited for the time-being.
-

Currently, 4 of Kyushu Electric Power’s plants are back online. Compared to other power companies, Kyushu Electric Power’s ratio of nuclear power to total energy mix is
high.
As of May 2019, Kyushu Electric Power’s nuclear power plants are undergoing periodic inspections. Plants under inspection will be suspended for approximately 3 months.
Due to delays in completing anti-terror upgrades to their plants, several plants are subject to going offline after March 2020. Given the operational status of Kyushu
Electric Power’s plants, the frequency of curtailment may decrease going forward.
Plant

Output(10,000kW)

Genkai-1
Genkai-2

56
56

Genkai-3

118

Genkai-4

118

Sendai-1

89

Sendai-2

89# of days
suspended

Status (after going back online since FY2011)

Apr 2015
Apr 2019
Mar 2018
13-May-2019
22-Jul-2019
Jun 2018
Aug 2019
Sep 2015
Oct 2016
Jan 2018
27-Jul-2019
Nov 2015
Dec 2016
Apr 2018
Oct 2019

Not operational
Not operational
OnlineOffline, under periodic inspection
Online (adjustment operation)
OnlineScheduled for periodic inspection
OnlineSuspended for inspection
Suspended for inspection
Offline, periodic inspection started
OnlineSuspended for inspection
Suspended for inspection
Scheduled for periodic inspection（millions kWh）

3500

70 days

67 days
126 days

73 days
131 days

Comparable expenditure of anti-terror upgradesby power company
Jun. 2019

Jan. 2013

May 13Genkai Reactor-3
Inspection started

July 27
Sendai Reactor-1
Inspection started

3000

AugustGenkai Reactor-4
Inspection
to be started

2500

Source: Kyushu Electric Power Company website dated August 7, 2019.

Jan. 2013

Nuclear power generation during inspection period(Note)

Jun. 2019

KEPCO¥285 Bn¥1.25 Trn

Chubu

¥150 Bn¥400 Bn

Kyushu¥200 Bnover ¥900 Bn

Tohoku¥25 Bn¥340 BnTEPCO HD

¥70 Bn¥680 Bn

Hokkaido

over ¥60 Bn¥200 Bn

Chugoku¥50 Bn¥500 Bn

ShikokuTens ofbillions of yen¥190 Bn

Hokuriku¥25 Bnover ¥150 Bn

Source: Nuclear Regulation Authority website and Nikkei Newspaper article dated July 9, 2019.

玄海３号
Genkai-3
玄海４号
Genkai-4
川内１号
Sendai-1
川内２号
Sendai-2

comparedto April▲68%

Actuals

2000

October
Sendai Reactor-2
Inspection
to be started

1500
1000
500
0
Apr.
2019年4月
19

Note:

May
5月
19

Jun.
6月
19

Jul.
7月
19

Aug.
8月
19

Sep.
9月
19

Oct.
10月
19

Nov.
11月
19

Dec.
12月
19

Amount of power generation from each plant after July 2019 is based on a monthly
average of actual output during April to June. Actual output for April was used to calculate
Genkai-3’s output since it’s been online as of May. Another assumption is that the plants
will be offline for 3 months during the inspections.

14

Impact from FIT Revision◼ Impacts on CSIF due to FIT revision• On Aug. 5, 2019, the subcommittee of METI Advisory Committee for Natural Resources released an interim reportannouncing the abolishment of FIT for solar and wind generators (starting from newly certified projects) andintroducing a bidding system to further cut power production costs.
• Regarding the transition from the FIT regime to a bidding system, our understanding is that the purchase price ofpower generated from operational plants that have already received certifications will not be revised. We believe thatthe impact from this transition on existing projects is limited.
• Regarding new projects going forward, stricter regulations will erect higher entry barriers for renewable power
producers and will possibly create a disparity between newcomers versus existing operators. Our outlook is that the
renewable energy business will lean in favor of operators that can procure cheaper resources and operate at lower
costs.

No impact on FIT of existing portfolio and pipeline assets• Even if the current interim draft becomes the final ruling, the FIT price of CSIF’s existing portfolio assets are
already fixed, hence posing no impact. Moreover, we expect no impact on the FIT price of our sponsor pipeline
assets that are currently under development.
Post-FIT regime external growth opportunities and sponsor bidding• CSIF’s sponsor already has a track record in winning project bids. Going forward, we expect to be able to maintaina solid pipeline with the sponsor given that they’re still able to maintain cost competitiveness under the new
bidding system.
• Despite the annual decline of FIT prices, our acquisition strategy of solar plants continues to factor in the impacts
to dividend yield. Going forward, our strategy and policies will remain unchanged even if electricity sale prices
become fixed under the new bidding system.
15

Contribution to ESG◼ Signatory to UN PRI (United Nations-backed Principles for Responsible Investment Initiative)
As at Aug. 13, 2019, our asset manager, Canadian Solar Asset Management K.K. (“CSAM”), has
become a signatory to the UN PRI. CSAM intends to increase its activities for more progress withregards to ESG issues and commits responsible investment management through the practice of PRI
in order to accomplish contributions to social responsibility.
◼ Canadian Solar Group’s Initiatives to address ESG issues in JapanThe following are several programs that each affiliate of the Canadian Solar Group (Canadian Solar
Japan K.K., Canadian Solar Projects K.K., Canadian Solar O&M Japan K.K. and CSAM) has contributed
to address ESG issues and promote CSR.

• Sponsorship of Sendai Winter Park
Starlight Rink (Sendai-shi, Miyagi
Pref. 2013)• Sponsorship of Releasing Free-range
Flounder Fish Event (Hiji-machi, Oita
Pref. 2017)• Sponsorshipof
Ome(Ome-shi, Tokyo 2018)

Marathon16

3. Management Policy

5th 6th & 7th FP Business Forecast◼ Business Forecast
5th Fiscal Period(ending December 2019)

6th Fiscal Period(ending June 2020)

7th Fiscal Period(ending December 2020)

Statement of Income (million yen)
Operating revenue

2,213

2,130

2,202

Operating profit

797

737

807

Ordinary profit

671

615

687

Current net profit

671

614

687

DPU (incl. distributions in excess of earnings)

3,650 yen

3,650 yen

3,650 yen

DPU (excl. distributions in excess of earnings)

2,903 yen

2,659 yen

2,973 yen

747 yen991 yen

677 yenPer unit distributions in excess of earnings

Congruent with CSIF’s policy to maintain stable levels of distributions,projected DPU for 5 th FP (ending Dec. 2019) , 6 th FP (ending Jun. 2020)
and 7 th FP (ending Dec. 2020) is ¥3,650(Note-1) Figures are rounded down to the nearest million yen.
(Note-2) Above forecasts are based on earnings summary dated August 13, 2019 and is subject to change due to factors including without limitation, acquisition or sale of renewableenergy projects, changes in infrastructure markets, fluctuation in interest rates and other changes in circumstances surrounding CSIF. Forecasts do not guarantee any
dividend amounts.

18

Changes in Dividend Amounts
CSIF has increased its DPU by 50 yen from the previous period to 3,650 yen
Forecasts to maintain the DPU of 3,650 yen in and after the 5 th fiscal period owing to the continuous profit
contribution from the properties acquired in the 4 th fiscal period
The fund aims to achieve a stable and sustainable distribution payout by utilizing distributions in excess of earnings
（yen）

3,650

4,000

3,650

3,650

3,650

3,600
3,500
3,000

577
2,350

747

677

991

1,817

2,500
2,000

808

3,073

1,500
1,000
1,542

2,903

2,973

2,659

1,783

500
0
2nd Fiscal
第2期Period

3rd Fiscal
Period
第3期

4th Fiscal
Period
第4期

5th Fiscal
Period
第5期(Forecast)

DPU (excl. distributions in excess of earnings)
1口当たり分配金（利益超過分配金を含まない）

6th Fiscal
Period
第6期(Forecast)

7th Fiscal
Period
第7期(Forecast)

（予想）
（予想）
（予想）
Per unit distributions in excess of earnings
1口当たり利益超過分配金(Note) Figures for the 5th~7th Fiscal Period are forecasts and are subject to change. They do not represent guaranteed distribution amounts.

19

External Growth Strategy（Sponsor Pipeline）
Achieve ¥100Bn in asset size over the medium term drawing on acquisitions from sponsor pipeline◼ Sponsor portfolio snapshot

Operational and underconstruction

FIT purchase price range: Mostly ¥32~¥40/kWh
By size (per asset)

12projects, 137.9MW

Under development

14projects, 201.6MW

16.7％

23.9%

7

ENR projects (Note)
3.90MW

850 MW~

5

5.5%

10MW~50MW￥40/kWh

5MW~10MW￥36/kWh

2MW~5MW￥32/kWh

~2MW

53.9％

◼ Map of owned assets and sponsor assets~￥32/kWh

Under

MW（建設中）construction

Under

MW（開発中）development

ENR projects
MW（ENR対象物件）

400

CS Yamaguchi Aio Dai-ni PP（1.2 MW）(as at Jun.30, 2019)

159.4

200
150
100

2.6

50

62.7

0

39.2

0.4
27.1

32.2
2019年

Aug.2019~
（
8月以降）

2020年

2020~

2021年

2021~

2022年

2022~

CS Hokkaido Ishiari PP（2.4 MW）

CS Gunma Mizukami
Dai-ni PP（2.6 MW）

CS Miyagi Kejonuma PP（0.9 MW）

CS Gunma Aramaki PP（19.0 MW）

CS Miyagi Angel land PP（9.2 MW）

CS Niigata Myoko PP（2.6 MW）

CS Miyagi Ogawara PP（7.2 MW）

CS Ishikawa ChausuyamaPP（8.9 MW）

CS Azuma-kofuji PP（100.0 MW）
CS Tochigi Kitsuregawa
PP（1.2 MW）

累計

Total

CS Ibaraki Kurusu PP（11.3 MW）

CS Kumamoto Mashiki
Dai-ni PP（1.2 MW）

105.7

32.2
稼働済

Operational

201.6

1.2

14.7

CS Gunma Mizukami PP（19.0 MW）

CS Oita Munechika PP（8.2 MW）

300
250

CS Fukuoka Saigawa PP（13.0 MW）
CS Oita Hiji-machi PP（53.4 MW）

339.5MW350

CS Hiroshima Suzuhari PP（17.9 MW）
CS Yamaguchi Hofu PP（7.0 MW）◼ Operational start year and status ofsponsor portfolio assets
Operational
MW（稼働済）● Operational● Under Construction● Under Development● Acquired by CSIFCS Gunma Takasaki KG PP（24.5 MW）

(as at Jun.30, 2019)(as at Jun.30, 2019)

（MW）
450

26projects, 339.5MW

By FIT price (panel output)

2

4

Total sponsor portfolio

3.9
ENR対象物件(Note)
ENR projects（注1）

CS Kumamoto Yamato PP（1.2 MW）

CS Ibaraki Kasama PP（12.0 MW）

CS Hiroshima Fukuyama PP（3.4 MW）

CS Shizuoka Tashiro
Dai-ni PP（0.4 MW）

CS Hyogo Kawanishi PP（1.0 MW）

CS Shizuoka Shuzenji PP（10.8 MW）

Source: Compiled by the Asset Manager based on disclosures by Canadian Solar Projects K.K.
Note: Total panel output of ENR projects are based on development plans as of June 30, 2019. Forecasted output and actual output may differ. Licenses and permits for ENR project development may not be completed and there is no assurance
that these projects will reach completion nor be ready for commercial operation. With respect to these ENR projects, CSIF has been granted Exclusive Negotiation Rights from project developers. As at June 30, 2019, the sponsor does notretain ownership of these projects and there is a likelihood that the sponsor will not acquire the project among other reasons. As at June 30, 2019, CSIF does not intend to acquire these projects and there is no assurance that CSIF will
acquire these projects.

20

4. CSIF’s Unique Features

Overview of Sponsor◼ Canadian Solar Group’s history◼ Canadian Solar Group’s Global Operations

Founded in Ontario, Canada, 2001
Listed on NASDAQ (CSIQ) in 2006
Over 12,000 employees globally
Presence in 20 countries/territories
Delivered solar panels amounting to over
34 GW total capacity
4.6 GWp solar power plants build andconnected globally (incl. Recurrent Energy)

Ranked 3rd globally in terms of sales
Entered the Japan market in 2009 andestablished proven track record for shipping
PV modules

Canada2 U.S.
3 Mexico
4 Brazil
5 Germany
6 Spain7 Turkey
8 South Africa
9 UAE
10 India
11 Singapore
12 Japan
13 Korea
14 Australia

2

1

1

1 Canada

2 Brazil

３ China

４ Thailand
５ Vietnam

６ Indonesia

1 Argentina
2 Taiwan

As of June 30, 2019
●Base of Sales◆Base of Manufacturing■Base of Development

Source: Compiled by the Asset Manager basedon “Investor Presentation as of May 30, 2019”
by Canadian Solar Inc.

Canada (2009)

U.S. (2010)(Note) There is no assurance that we can acquire the solar energy projects showed in the above
pictures in the future as of this writing.

22Vertically-integrated Business Model
GrowthPV plant
Acquire PV
plants

Project owner
CS Mashiki-machi
Power Plant

Own and lease solar
energy projects

Canadian Solar Infrastructure Fund,
Inc.

ProvideO&M
services
PV plant
management

Lease PVfacilities
PV plantdevelopment

Canadian Solar Group (incl. sponsor)
ModuleCell

Developer
Canadian Solar Projects K.K.

Wafer

Ingot

O&M provider
Canadian Solar O&M Japan K.K.

Silicon23

Overall Structure◼ Identical structure as a typical J-REIT◼ Our revenue is derived from rent income of solar energy projects
Canadian Solar Asset Management K.K.
Engaged in asset management in Canadian Solar
Infrastructure Fund, Inc.
⚫ Established in June 2016⚫

Canadian Solar Projects K.K. (Sponsor)(Sponsor / Operator)⚫ Engaged in construction and operation of solar
energy facilities⚫ Established in May 2014

Asset
Management
Agreement

AssetManagerSponsorSupportAgreement

Distributions

Investment
Corporation(Fund)

Provides O&M services to solar energy facilities
including our currently-owned projects⚫ Established in June 2016

Loan
Agreements

Lenders

Sponsor /Operator
O&M Service
Agreement

Solar Energy
Projects
Lease /
Purchase
Agreements

Sales of PV modules for use in residential andindustrial solar power systems⚫ Established in June 2009

Landowners

O&M

Lease / Operation
Agreement

Canadian Solar Japan K.K.
⚫

EquityEquityInterest

Canadian Solar O&M Japan K.K.
⚫

Investors

Asset Management
Service Agreements

LesseeOperator
SPC, etc.

Utilities
PPAs /
Interconnection
Agreements

24

Leasing Structure◼ Calculation method of basic rent and variable rent in anticipated projects to be acquired
Basic rentMonthly projected energy output (P50) ×(100－Y)% × 70% × FIT purchase price

Variable rent(Monthly actual energy output × (100－Y)% × FIT purchase price) － Basic rent

⚫ Even if actual energy output is lower than projected energy output (P50), the operator will be able to receive basic rent from lessee⚫ If actual energy output exceeds 70% of projected energy output (P50), possible to obtain variable rent

◼ Diagram of rent structure
Projected revenue from sales of electricity(before deducting lessee’s operating costs andoperator compensation)
×Y％

Projected energy output (P50)
×FIT purchase price

Rental income of Canadian Solar
Infrastructure Fund, Inc.

Projected energy output (P50)
×FIT purchase price×(100-Y)%
Variable rent

Projected energy output (P50)
×FIT purchase price × X%
×Y％Projected energy output (P50)
×FIT purchase price × X%
×(100-Y)%

Basic rent

Projected energy output(P50)×X%

Projected energy
output (P50)

Note-1: Projected energy output (P50) is monthly predicted solar energy output inlease term as described in technical reportNote-2: Y is percentage based on lessee’s operation cost and operator compensation
Note-3: Negative variable rent is regarded as zero

Actual energy output

25

Distribution Policy (Payout Ratio)◼ Distribution policy focusing on payout ratio⚫ Cash distributions to our unitholders for each fiscal period are calculated by multiplying the residual free cash flow(“NCF”), which refers to free cash flow (“FCF”) minus debt interest payments, by a payout ratio, which is determinedby us for each fiscal period.

◼ Distribution in excess of earnings
Expenses ofleasing business

Expenses ofleasing business

Debt interest

Capital expenditure

Debt interest

Total rental
revenues

FCF made by
renewable energy facilities

Use forreinvestment
Up to 60%of depreciation

Debt repayment

Depreciation

Retained earnings
Residual FCF(NCF)

Revenue

Expenses

Residual FCF
×Payout ratio

Cash distribution

Distribution

Distribution inexcess of earnings
Distribution
from profit

Net income

Breakdown

P/L(Note-1) Residual FCF is calculated as free cash flow minus interest payments related to interest-bearing debt and repayments of interest-bearing debt for the relevant fiscal period plus
total amount of net cash flow remaining after deduction of distributions from the preceding fiscal periods.
(Note-2) Our calculation method of payout ratio differs from that of other enterprises (i.e. cash distribution divided by current income).
(Note-3) Under the standards set forth by the Investment Trusts Association, Japan, closed-end infrastructure funds, such as us, may return capital up to 60% of the amount obtainedby deducting the amount of their accumulated depreciation recorded as of the end of the preceding fiscal period from the amount of their accumulated depreciation calculated
as of the end of the relevant fiscal period.
(Note-4) The chart above is presented solely to facilitate a general understanding of the mechanism for cash distributions, and does not represent the share of our rental revenues orcash distributions in excess of retained earnings. We may decide not to make any amount of cash distributions in excess of retained earnings for a particular fiscal period,
based on a consideration of factors such as economic or renewable energy market conditions or our financial condition, among other factors, after taking into account our
financial situation and alternative uses of cash, such as the execution of repair plans and capital expenditures, the repayment of borrowings and property acquisition
opportunities. We may, in place of making cash distributions in excess of retained earnings, decide to acquire our own units.

26

Characteristics of PV Plant Revenue◼ Forecastability of earning stability on a long-term basis⚫ FIT price and FIT period of our PV plants are binding in accordance with the Feed-in-Tariff system. Moreover, giventhat our assets-under-management are set up so that we can capture basic rent from the lessee, we assume that any
decline in rent income won’t exceed a certain limit.
⚫ Given that expenses on depreciable assets are largely fixed, earnings forecasts can be realistically projected for the
long-term.
◼ Dynamics of PV plant revenue during FIT period○ Assuming that we purchase PV projects and do not purchaseadditional assets nor sell them, fluctuations in operating revenue,
operating expenses and non-operating expenses during the FIT
period will follow the general tendencies listed below. Hence, ourunderstanding is that CSIF’s current income will gradually increaseover the medium to long term during the FIT period.

AmountOperatingexpenses

Operatingrevenues○ Operating revenues generally decrease gradually over the medium tolong term due to expected deterioration of PV modules.

○ Operating expenses generally decrease (mainly composed of taxes
Net income

on depreciable assets that are calculated using the straight-line
method) gradually over the medium to long term, under thepresumption that expenses other than taxes on depreciable assets
are largely fixed (including assumed regular maintenance costs).

○ Amortization payments of loan principal and interest rates that are

Non-operating
expensesTime

partially fixed generally cause non-operating expenses to decrease
gradually over the medium to long term given typical amortization
schedules, as these payments are the primary component of nonoperating expenses.

27

Appendix

Renewable Energy Market in Japan◼ Renewable energy mix and comparable energy self-sufficiency by country⚫ At the Paris Climate Change Agreement, Japan pledged to reduce CO emissions by 26% (vs. 2013 levels) by 2030
◼ Comparable renewable energy mix (2017)◼ Comparable primary energy self-sufficiency amongst OECD(2012 estimates)

100%

8 U.S.

60%

14 U.K.
15 France

22014: 23.3％→2017: 30.5％

20 Germany

22014: 3.2％
→2017: 8.1％

20%

27 Spain

0%30 Korea
Germany

Renewable Energy(excl. hydropower)

Spain

U.K.

FranceHydroelectric energy

Coal

Petroleum, etc.

U.S.

Japan

Natural gas

Nuclear energy

33 Japan
34 Luxembourg0%
Source: Compiled by the Asset Manager based on METI’s “Japan’s ENERGY (2018 EDITION)” dated March 2019.

◼ Changes in the energy market… … ……

40%

677.4%… …

1 Norway
2 Australia
3 Canada

80%

235.4%
166.2%
85.0%
60.7%
52.9%

40.1%

25.8%

2017: 9.6％

18.0%

6.0%
2.9%
100%

200%

300%

400%

500%

600%

700%

800%

Source: Compiled by the Asset Manager based on Graph 111-1-1 of the FY2013 Annual Reporton Energy (Energy White Paper 2014) and “総合エネルギー統計 Energy Balances inJapan (April 2019) by METI.
Note: Figures for countries excluding Japan were based on data from “Energy Balances ofOECD Countries 2013” by the IEA. Figures for Japan were based on data from “総合エネルギー統計 Energy Balances in Japan (April 2019) by METI.

⚫ METI projections of future energy mix and medium-long term changes to FIT purchase price◼ Installed solar capacity… METI predicts solar energy◼ Trends in FIT purchase price and average system costs ofwill comprise 7% of total 2030 energy mix

solar energy projects (2012-2018)

(GW)
80.0
70.0
60.0
50.0
40.0
30.0
20.0
10.0
0.0

(¥/kWh)50

64.0

FIT Purchase Price(Left axis)

42.1
37.3

44.6

40

36

25

34.1

32

32.3

Average system cost
(Right axis)
31.4

2030 Forecast

Source: Compiled by the Asset Manager based on the following: data from METI website, “Long-term Outlook ofEnergy Supply and Demand (July 2015) by METI, “FY2015 Annual Report on Energy (Energy White Paper
2016)” by METI and data from the Federation of Electric Power Companies.
Note: Projection for FY2030 is based on the percentages and installed capacity disclosed in the reports preparedby METI and are not based upon our calculations. There is no guarantee that the projected percentages orcapacity will be realized.

28.6
25

29
24

March 201929.9

(ten thousand
yen/kWh)
50

21

18

0

0
2012年

2013年

2014年

2015年

2016年

2017年

2018年

Source: Compiled by the Asset Manager based on “Report on Procurement Prices after FY2019 (January 9, 2019)” by
METI.
(Note-1) FIT purchase price for each year based on a period from April to March of the following year and excludes
national and local consumption taxes.
(Note-2) Average system costs are based on the calendar year.

29Corporate History◼ Timeline
Date

Event

April 21, 2017

Notification on incorporation of the Investment Corporation by the organizer (Canadian Solar
Asset Management K.K.) in accordance with Article 69, Paragraph 1 of the Investment Trust Law

May 18, 2017

Registration of incorporation of the Investment Corporation in accordance with Article 166 of theInvestment Trust Law, Company Incorporation

May 25, 2017

Application for registration of the Investment Corporation in accordance with Article 188 of theInvestment Trust Law

June 9, 2017

Prime Minister's approval of registration of the Investment Corporation in accordance with Article
187 of the Investment Trust Law (Kanto Regional Finance Bureau Director-General Registration
No. 127)

July 11, 2017

Amendment of Articles of Incorporation

October 30, 2017

Listing on Tokyo Stock Exchange (Securities Code:9284)

September 6, 2018

Follow-on Offering30Balance Sheet for 4 th FP◼ 4 th Fiscal Period (ended June 2019)◼ Assets
Current assets
Cash and bank deposit
Operating accounts receivable
Prepaid expenses
Consumption taxes receivable
Other current assets
Total current assets
Fixed assets
Property and equipment
Structures
Accumulated depreciation
Total structures (net)
Machinery and equipment
Accumulated depreciation
Total machinery and equipment (net)
Tools, equipment and supplies
Accumulated depreciation
Total tools, equipment and supplies (net)Land
Construction in progress
Total property and equipment
Intangible assets
Leasehold rights
SoftwareTotal intangible assets
Investments and other assets
Long-term prepaid expenses
Deferred tax asset
Long-term deposits
Guarantee deposits
Total investments and other assets
Total fixed assets
Total assets(in thousands of yen)

2,466,624
426,756
71,805－215
2,965,401

835,726△45,417790,308
38,610,034△2,191,437
36,418,597
521,176△32,570
488,605
4,466,771－
42,164,283
512,4112,746
515,158◼ Liabilities and Net Assets

Current liabilities
Accounts payable (other)
Long-term borrowings to be repaid within 1 year
Accounts payable
Accrued expenses
Income taxes payable
Consumption taxes payable
Deposits received
Total current liabilities
Fixed liabilities
Long-term borrowings
Total fixed liabilities
Total liabilities
Unitholders’ equity
Unitholders’ capital
Amount deducted from Unitholders’ capital
Unitholders’ capital (net)
Surplus
Unappropriated retained earnings(accumulated deficit)
Total surplus
Total unitholders’ equity
Total net assets
Total liabilities and net assets(in thousands of yen)

26,344
1,286,149
83,003112,673868
49,9041,750
1,560,694
22,227,007
22,227,007
23,787,702
22,050,175△567,281
21,482,893
710,506
710,506
22,193,399
22,193,399
45,981,101

307,42412
7,800
21,021
336,258
43,015,700
45,981,101

31

Statement of Income for 4 th FP◼ 4 th Fiscal Period (ended June 2019)(in thousands of yen)

Operating revenues
Rental revenues
Total operating revenue
Operating expenses
Rental expenses of renewable energy projects
Asset management fee
Administrative service fees
Director’s compensation
Tax and dues
Other operating expenses
Total operating expenses
Operating profit
Non-operating income
Interest income
Insurance proceeds
Tax refunds
Total non-operating income
Non-operating expenses
Interest expenses
Borrowing-related expenses
Investment unit issuance expenses
Total non-operating expenses
Ordinary income
Income before income taxes
Income taxes
Income tax adjustments
Total income taxes
Net income
Profits brought forward
Unappropriated retained earnings(accumulated deficit)

2,185,392
2,185,392
1,234,114
55,97918,9452,400
399
56,352
1,368,191
817,201
15
27,146
1,355
28,517

106,345
28,083－
134,428
711,290711,290870
0870
710,41986
710,50632

Unit Price Performance

Unit price(left axis)（ yen）

Volume(right axis)（ units）

110,000

June 12
Nikkei News Release

3,600

105,000

3,000

100,000

2,400

95,0001,800

90,0001,200

85,000600

80,000

4-Jan

4-Feb

4-Mar

4-Apr

4-May

4-Jun

0

28-June-2019

33

Green Bond
◼ Acquisition of JCR’s Green Bond Evaluation
Borrowings executed on October 31, 2017 were assigned the highest-grade evaluation of “Green 1” inJapan Credit Rating Agency (JCR) ’s Green Bond Evaluation on November 22, 2017. JCR reviewed
Green Bond Evaluation on January 23, 2019 and continued the same "Green1" evaluation.

Acquisition priceof 13 projects
acquired in IPO
JPY 30.4 Bn

CS Mashiki-machi
Power Plant

Borrowings
JPY 15.7 Bn

Unitholders’equityissued on IPOBankJCR assigned
the highest-grade evaluation
Green1in JCR’s Green Bond Evaluation

34

Status of Unitholders◼ Unitholding (as at period-ended June 2019)◼ By unitholding amount# ofinvestment
units:
231,190◼ By unitholders■Individuals / others

131,813 units（57.02%）■Financial institutions

16,654 units（ 7.20%）(incl. financial instruments firms)■Domestic corporates

49,291 units（21.32%）■Foreign entities & individuals

33,432 units（14.46%）

Name

# of
unitholders
11,143■Individuals / others

10,859（97.45%）■Financial institutions

34（ 0.31%）(incl. financial instruments firms)■Domestic corporates

185（ 1.66%）■Foreign entities & individuals

65（ 0.58%）

Number of investment
units held (units)

Unitholding ratio to total issued
units (％)

1

Canadian Solar Projects K.K.

33,89514.661%

2

State Street Bank And Trust Company

12,7745.525%

3

Goldman Sachs International

5,414

2.342%

4

Individual investor

4,399

1.903%

5

The Bank of Fukuoka, Ltd.

3,430

1.484%

6

CITIBANK INTERNATIONAL PLC AS STANDARD LIFE WEALTH PHOENIX FUND

3,292

1.424%

7

Individual investor

1,662

0.719%

8

Individual investor

1,556

0.673%

9

Individual investor

1,500

0.649%

9

Yamato Shinkin Bank, Ltd

1,500

0.649%

69,42230.028%

Total(Note): Unitholding ratio is rounded down to the nearest hundredth.

35

Disclaimer• This document has been prepared to provide information, and is not for soliciting and inviting investments in orrecommending transaction of certain products. We request investors to make investments with their own
responsibility and judgment.
• This document does not constitute a disclosure document or a management report based on the Financial
Instruments and Exchange Act, the Act on Investment Trusts and Investment Corporations or the listing regulationsof the Tokyo Stock Exchange.
• In addition to information on Canadian Solar Infrastructure Fund, Inc. (the "Investment Corporation"), this document
includes figures, tables and data prepared by Canadian Solar Asset Management K.K. (the "Asset Manager") based ondata/index and other information released by third parties. Analysis, judgment and other views of the Asset Manager
on such information at the time of preparation are also included in this document.
• The information contained in this document is not audited and there is no assurance of the accuracy and certainty ofsuch information. Analysis, judgment and other non-factual views of the Asset Manager represent views of the AssetManager at this point in time. Different views may exist or the Asset Manager may change its views in the future.
• Figures under the same items of other disclosed materials may differ from figures presented in this document due todifference in the rounding of fractions, etc.
• While the Investment Corporation takes reasonable care in the preparation of this document, there may be errors.
Readers are also cautioned that the contents of this document may be corrected or changed without prior notice.
• The Investment Corporation and the Asset Manager assume no responsibility for the accuracy of data, indexes andother information released by third parties.
• This document includes statements regarding future policies, etc. of the Investment Corporation. However, thesestatements do not guarantee said future policies, etc.
• For the convenience of preparing graphs, the dates indicated herein may differ from actual business dates.

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